Virgin Money is cutting interest rates across a number of its residential and buy-to-let mortgage products on Friday 3 August.

The lender is also introducing a new 60% LTV tier for residential borrowers.

The new 60% LTV fixed rates will be available to both purchase and remortgage customers at 2.99% with a product fee, or 3.39% with no product fee.

Customers remortgaging from another lender will benefit from free legals and a free basic valuation.

Two-year fixed rates will be cut across LTV tiers from 70% to 90%, so customers with lower deposits will also benefit. The 70% LTV Two-year fixed rate will be reduced to 3.19% (with a product fee), with rates at 80%, 85% and 90% also reducing by up to 0.20 percentage points.

Three-year fixed rates will fall to 3.49% (up to 70% LTV with a product fee). Five-year fixes will reduce to 3.59% up to 70% LTV, and 3.79% up to 75% LTV (with product fees). Cashback of up to £300 also remains available on a selection of residential purchase products.

Buy-to-let fixed rate loans have been cut by up to 0.41%, and will be available from 3.99% for two years, 4.39% for three years or 4.59% for five years. The buy-to-let range continues to offer cashback of £500 on completion.